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REXP has beaten all the expectations and came up with solid results. 9 months EPS Rs. 33.31 and annual EPS would likely to exceed Rs. 40 for 2016/17.

Quarterly EPS is Rs. 9.89 and an increase of 55%. REXP has efficiently dealt with rubber price increase.

Today the rupee against US$ is Rs. 153.56. The rupee has been falling continuously over last 5 days. This is a real good news for REXP. Every one rupee depreciation would increase the EPS around 1.50. The rupee would soon fall to 160/=. REXP is the best share to hold as long as UNP in power. The rupee will continuously depreciated as long as this government exist and I have converted some of my manufacturing and banking shares to REXP.

The rubber prices are falling pretty fast which is an added bonus for REXP. With GSP plus and falling rubber prices, I expect REXP to report superior results in coming quarters.

I respect the management for their generous dividend policy. The quarters ending December 2016 and March 2017 were hard for them but they performed extremely well and reported an EPS of Rs. 41.38 and declared Rs. 16 as dividend.

Many companies failed during last quarter testing times as their cost of sales gone up and profits dipped drastically. Eg: ACL, APLA, CIND and some others who engage in manufacturing. But REXP surprised everyone with an annual profit increase of 33%.

REXP will be a good counter to watch in coming quarters as per my view as all the factors are very positive for them to achieve a record performing 2017/18.

Today nearly 430,000 shares of REXP traded which is quite unusual. There is a rumour that the 2nd top shareholder TRL Holdings sold their shares to Richard Pieris & Co.

Today REXP transferred from Main board to Diri Savi Board. With today's purchase of shares, RICH increased its stake to nearly 84% in REXP and therefore could have requested CSE to transfer REXP to Diri Savi Board.

If it's the case, we can expect more dividends from REXP in the future. If the holding company is increasing it's stake above 80% then we can expect something special from REXP in the future.

Note: Still no official announcement being made regarding RICH acquisition of REXP. This was just a rumour for the time being so therefore please don't take it as confirmed. I'm waiting for the official announcement whether RICH bought REXP today or not.

Now the official announcement has been made and it's the holding company Richard Pieris & Co purchased 406,030 shares of REXP at an average cost of Rs. 237.42. Now RICH holds nearly 84% of REXP and that's why REXP has been transferred to Diri Savi board from the Main board.

The RICH board may want to increase the stake of REXP in the future even closer to 90% since it's a cash cow in the group.

I consider this as a good news since there will be less selling pressure for REXP in the future and there will be more dividends from REXP. The Management of RICH should have valid reasons to do this and the future outlook could be very bright with GSP plus, capacity expansion and rupee depreciation.

On the other hand RICH also would benefit as they will get more dividend income from REXP and REXP is a cash cow in the group.

Note: Please do your own research before making any buy/ sell decisions.

Future123 wrote:Today nearly 430,000 shares of REXP traded which is quite unusual. There is a rumour that the 2nd top shareholder TRL Holdings sold their shares to Richard Pieris & Co.

Today REXP transferred from Main board to Diri Savi Board. With today's purchase of shares, RICH increased its stake to nearly 84% in REXP and therefore could have requested CSE to transfer REXP to Diri Savi Board.

If it's the case, we can expect more dividends from REXP in the future. If the holding company is increasing it's stake above 80% then we can expect something special from REXP in the future.

Note: Still no official announcement being made regarding RICH acquisition of REXP. This was just a rumour for the time being so therefore please don't take it as confirmed. I'm waiting for the official announcement whether RICH bought REXP today or not.

I think FG for main board minimum public float is 20% and for Diri Savi Board is minimum 10% public holding. That's why when RICH increased its stake of REXP to nearly 85%, the shares were immediately transferred from main board to Diri Savi Board upon holding company's request.

First Guy wrote:How does increasing the stake help with new public holding regulations?

The value of property, plant & equipment as at 31/12/2016 is Rs. 521 million. The value of property, plant & equipment as at 31/12/2017 is Rs. 974 million.

REXP has invested in plant and machinery in 2017 Rs. 453 million an increase of 87%.As a result of this we can expect significant capacity increase and production volumes in 2018. REXP has introduced new product lines as well. The rupee is depreciating very fast against all major currencies and this is a real bonus for REXP. The reserves are piling up for REXP and we may expect a cpitalization of reserves in the future.